Constellation Brands Completes Sale of Canadian Wine Business
December 19 2016 - 8:00AM
VICTOR, N.Y., Dec. 19,
2016 - Constellation Brands, Inc. (NYSE: STZ and STZ.B), a
leading beverage alcohol company, announced today that it has
completed the sale of its Canadian wine business to Ontario
Teachers' Pension Plan, the largest single-profession pension plan
in Canada. The transaction, which includes Canadian wine brands
such as Jackson-Triggs and Inniskillin, wineries, vineyards,
offices, facilities, and Wine Rack retail stores, is valued at
approximately C$1.03 billion. The company received cash proceeds,
net of repayment of outstanding debt, of approximately C$765
million, subject to post-closing adjustments. The sale of the
Canadian wine business aligns with the company's focus on driving
higher growth, higher-margin business activities, and its capital
allocation strategy, which includes returning value to shareholders
through cash dividends and share repurchases, and making select,
value-creating acquisitions while operating at a targeted leverage
ratio.
The company expects to provide additional
financial information related to the transaction in connection with
its fiscal third quarter 2017 report of financial results.
About Constellation
Brands
Constellation Brands (NYSE: STZ and STZ.B), a Fortune 500® company,
is a leading international producer and marketer of beer, wine and
spirits with operations in the U.S., Canada, Mexico, New Zealand
and Italy. Constellation is the No. 3 beer company in the U.S. with
high-end, iconic imported brands such as Corona Extra, Corona
Light, Modelo Especial, Modelo Negra and Pacifico. The company's
beer portfolio also includes Ballast Point, one of the most awarded
craft brewers in the U.S. In addition, Constellation is the world's
leader in premium wine, selling great brands that people love,
including Robert Mondavi, Clos du Bois, Kim Crawford, Meiomi, Mark
West, Franciscan Estate, Ruffino and The Prisoner. The company's
premium spirits brands include SVEDKA Vodka, Casa Noble Tequila,
and High West Whiskey.
Based in Victor, N.Y., the company believes that
industry leadership involves a commitment to brand building, our
trade partners, the environment, our investors and to consumers
around the world who choose our products when celebrating big
moments or enjoying quiet ones. Founded in 1945, Constellation has
grown to become a significant player in the beverage alcohol
industry with more than 100 brands in its portfolio, about 40
facilities and approximately 8,000 talented employees. We express
our company vision: to elevate life with
every glass raised. To learn more, visit www.cbrands.com.
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Constellation Brands Inc via Globenewswire
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